Mr.Indroneel Dutt, CFO, Cleartrip
We are optimistic and hopeful that the government will continue to be open-minded and maintain the impetus of its past initiatives while bringing necessary reformations to further enable the aviation sector. The Regional connectivity Scheme titled UDAN needs particular attention and allocation in this Budget. Increased digital penetration in the last few years has been one of the biggest contributors to the rise of the Indian travel industry.
So, we expect the budget to sustain and accelerate India’s digital journey. We also hope that the Government will bring necessary provisions to accommodate four different slabs under ‘One GST Rate’ in this budget. Simplifying input credit mechanism on air and accommodation services including big-ticket transactions like travel bookings, along with processes like GST filing, will provide a fillip to the sector.
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As this sector is one of the most organized and tax compliant industries in India, we further hope that the Government will take necessary actions to remit or remove TCS entirely. This will alleviate the unnecessary financial burden on the airlines and the OTA’s which will translate to passengers getting superior aviation services at lesser fares.
The author is the CFO of Cleartrip.
